The definite article
Cobbetts is a full-service regional firm with offices in Manchester, Birmingham and Leeds and a small practice in London. The headquarters in Manchester, which takes on about half of each year’s trainee intake, has earned the Mancunian native a reputation as “THE Manchester firm” for its top-drawer work in a range of fields. Recognition of its achievements is hardly limited to the main office. Firm-wide, Cobbetts performs admirably in the Chambers UK tables, which consistently rank the firm highly for all sorts of areas.
However, dispute resolution, corporate and real estate groups comprise the lifeblood of Cobbetts’ practice, accounting for almost 70% of the firm’s work. The real estate group in particular has seen a welcome increase in instructions after a tough recession, while corporate and dispute resolution departments are also beginning to get back to normal in the recovering market. Though much of the firm’s work is regional, a good chunk of it has national scope.
Its key departments hit by the recession, Cobbetts has been through some tough times. Revenue and profits tumbled, and as well as making redundancies, the firm was forced to impose a temporary pay freeze, cut trainee salaries and reduce some staff to a four-day week. These measures have since been reversed (although the salary for NQs is still considerably less than it was in those heady pre-recession days). The financial results for 2010/11 show a 2% increase to £44.5m.
Managing partner Michael Shaw attributed the firm’s steady recovery to “the support and co-operation of our team. Most of the measures we undertook were wholly voluntary, and we couldn’t have done those things without first having established trust within the organisation.” According to trainees, “the general consensus is that the recession was dealt with very well. You do see the hangover a bit, but business is definitely picking up.” Shaw concurs: “We’ve made great progress. Our banking litigation practice has grown considerably, and our international corporate practice is doing very well.” The firm has been looking overseas a lot more of late, and has set up a Swiss Verein called Cobbetts International. A Swiss Verein is a legal structure that allows member firms to practically merge while having very little exposure to each other’s liabilities. So far, the only development has been a joint venture with an Egyptian firm, which operates under the name of Cobbetts International Cairo. However, Shaw hinted that there are plans for a couple more firms in the Middle East to march under the Cobbetts International banner. The firm entered into merger talks with North West firm DWF recently, but it seems nothing will come of them for now.
Five stars
At the time of writing in May 2011, Cobbetts had 31 trainees, 14 working in Manchester, eight in Leeds and nine in Birmingham. They sometimes nip down to the London office for a corporate seat when business needs allow it, but otherwise stay in their ‘home’ office for the entire two years of their training.
As for seats, they pick five, choosing between commercial litigation, corporate, employment, property, TMTI (telecoms, media, trade and infrastructure), banking, banking litigation (both Manchester and Leeds only), restructuring (Manchester and Birmingham), private capital, property litigation (both Manchester only) and construction (Birmingham). No seats are compulsory, although it would be “strange not to do property, since the firm’s so focused on that.” Cobbetts’ five-by-five seat scheme is fairly atypical, but trainees agree: “It’s a great system,” and one even declared it “one of the best things about Cobbetts.” Expanding on its appeal, our source said: “The standard four-seat system doesn’t give you enough variety, and the six-seat one doesn’t give you enough experience, so five is a great compromise.” In terms of accommodating preferences, the firm is “extremely flexible: as long as you express your interest, they’re willing to make sure you get it at some point.”
Hot property
The past few years have seen Cobbetts move steadily away from its former label as a heavily property-focused firm. Cutbacks and decreased revenue during the credit crisis meant that the department was forced to downscale. As we’ve already said, the team has recovered somewhat, and as real estate activity still contributes nearly a quarter of the firm’s total workload, Cobbetts “prefers everyone to do a real estate seat.” Major recent activity has included the £25m acquisition of a hotel site above the Westfield Olympic Shopping Centre on behalf of Whitbread, owner of the Premier Inn brand, and the £18m purchase of the West Midlands Police Authority’s new HQ. The group’s client base is nicely mixed and features big companies (adidas, KFC, Sportsdirect), public sector bodies (Leeds City Council, Salford City Council) and even schools. Trainees said it’s “an ideal seat to start with since it gets you up to speed with how file management works.” Indeed, because “you work on a lot of smaller jobs rather than a few really big tasks,” most trainees get the opportunity to manage their own cases, some “from start to finish.” These cases range from retail to residential to commercial matters, and trainees’ tasks can include anything from drafting licences and lease assignments to making conference calls with clients. The social housing practice offers trainees “an insight into the world of private versus public sector,” advising on housing PFI projects and on the housing stock transfers.
As the name suggests, the TMTI (technology, media, trade and infrastructure) practice encompasses “a mixed bag” of disciplines. Trainees call the seat “a bit quirky” for its wide-ranging spread of work: they might find themselves acting for an events company on the procurement of a touring Tutankhamen exhibition, or Dairy UK on the IP issues surrounding that advertising campaign featuring celebrities with milk moustaches. Because the seat covers a variety of industry sectors, trainees get “quite a wide experience in a number of fields, although perhaps not very deep,” and have the opportunity to participate in international work. Tasks “really vary” depending on the matters they encounter, and trainees “really benefit from a development point of view because of all the drafting.”
A corporate seat “requires lots of quick learning” and is “fantastic for client contact. Knowing you’re the last line between the client and the case really sharpens you up.” Trainees reported encountering “restructuring and reorganisation” of businesses, and you’ll also see the firm on a lot of MBOs and AIM admissions. Cobbetts is currently attempting to strengthen its corporate practice by increasing the amount of international work it gets, and has had some success winning mining clients in Africa and the Middle East. For example, the Birmingham office recently acted for Stellar Diamonds on its reverse takeover of West African Diamonds and readmission to the AIM market. This deal saw it working with lawyers in places like Guinea and Sierra Leone. How the aforementioned Cobbetts International brand will develop over the next few years is something to keep an eye on.
The small construction group is a “slightly more niche practice area” that has “more of a national role” than other practices: trainees from the Birmingham-based seat reported working out of Manchester and attending hearings in the Royal Courts of Justice in London. The seat involves “mainly contentious work,” so trainees will be preparing witness statements and bundling.
Speaking of litigious matters, the dispute resolution department has recently represented an airline on claims arising out of 2010’s volcanic ash delays, for the UK subsidiary of a Japanese manufacturer that was the victim of a £1.5m fraud, and for a bank in a £2m professional negligence claim against a firm of solicitors. One trainee had found themselves acting on behalf of the Secretary of State for Business, Innovation & Skills: “It was work in the public interest, stopping naughty companies doing bad things.” Meanwhile, one Manchester source described banking litigation as “the best seat for responsibility and client contact. They’re happy to throw you into the deep end and let you get on with it. Every day I’m running my own files and helping on larger deals too.”
Trainees and Cobbetts, sitting in a tree…
“If you show you’re capable of doing higher-level work, they respond to that and are happy to give it to you.” Our sources gave a massive thumbs-up to the training at Cobbetts, which one forthright soul claimed to be “the best outside of London.” We wouldn’t presume to pass comment on that – what we do know is that through good times and bad, its trainees have always reviewed the firm with an enthusiasm that borders on luurve. “They genuinely care about each of us here and value our input. Cobbetts really tries to get the best out of you,” said one source. “Everyone wants to see you do well," added another. "I don’t know what it is about Cobbetts that makes it different, but there’s something that means it’s just an all-round nicer place for trainees than others. There’s a good spirit of togetherness,” said one trainee. Don't worry if your natural inclination is to cringe at quotes like this and think they sound a little too Stepford for comfort. We'd think so too, except that years of experience has told us that this is simply the Cobbetts way. Some sources put it all down to the open-plan offices, which “foster an open-door policy,” while others say: “It’s the wide range of personalities that makes it work so well." For his part, Michael Shaw said: “When I became managing partner, I had the idea that people ought to be happy at work since they spend so much time there. I was told this was a naive thought, but I believe it comes down to being respectful to one another.”
Interviewees also praised the firm’s comprehensive approach to formal reviews, which sees trainees receive three official feedback sessions per seat: one at the beginning to set objectives, one mid-seat meeting to gauge progress and a final review at the end to evaluate performance. “The formal review is one of Cobbetts’ biggest strengths,” said one trainee. “Some of my friends at other firms just don’t have the comprehensive support that we get.” Trainees also get a chance to air any questions or grievances during weekly “check-in” sessions organised by their supervisor in each seat. Additionally, the firm encourages networking via the Cobbetts Young Professionals programme, a scheme that puts trainees in contact with other professionals from the area.
The happy noises continue when it comes to the office buildings themselves. “We have a few jokes about which office is the best, and naturally we think ours is,” said a Brum source. Situated in a “lovely tower block” in the main financial district (the other floors are others are occupied by Barclays Wealth), trainees generally sit in a ‘pod’ with their supervisor, which contain “a big window for each of us – there’s lots of light and space.” Manchester trainees, meanwhile, “feel a little spoiled” by their city centre home. “It’s brand-new – we only moved here in 2007 – and clients come in and say how lovely it is.” The Leeds office is central too, located between the station and the universities.
Trainees said the firm “does anything it can to try to retain us, as it’s invested in us,” and that ��if you express an interest in a certain area, the firm will work hard to accommodate you." Sources also added that “there’s not really much visible competition for jobs,” but it’s here we must strike a bum note into an otherwise cheery tune, as we’re duty-bound to point out the bare fact that retention rates haven’t been spectacular ever since Cobbetts bumped up the size of its trainee intake back in 2005. As for 2011, nine of the firm’s 14 second-years stayed on as NQs: four of five in Birmingham, four of six in Manchester and one of three in Leeds.
Because Cobbetts requires its trainees to take its LPC+ at the College of Law, they all know each other before arriving at the firm. Additionally, “people really make the effort to make sure you’re meeting everyone,” through subsidised social club events, such as the summer ball, and more informal dos like barbecues organised by Cobbetts Young Professionals. There are also trainee-arranged outings that range from casual dinners and rugby matches to corporate poker nights and weekend trips to the Lake District.
And finally...
Cobbetts has got it just about spot-on when it comes to looking after its trainees. After weathering a difficult couple of recession years, things are starting to look brighter for this likeable firm.